************************************************************
The Census and Statistics Department (C&SD) released today (March 25) the preliminary figures of chain volume measures of Gross Domestic Product (GDP) by economic activity for the fourth quarter of 2007 and the whole year of 2007.
GDP by economic activity shows the value of production for individual economic activities. The value of production is measured by net output or value-added, which is calculated by deducting intermediate input consumed in the process of production from the gross value of output. Volume measures of GDP by economic activity enable analysis of the growth profiles of individual economic sectors in real terms, by removing the effect of price changes.
GDP increased by 6.7% in real terms in the fourth quarter of 2007 over a year earlier, compared with the 6.3% growth in the third quarter. For 2007 as a whole, GDP recorded a growth of 6.3% in real terms over 2006.
Analysed by constituent sector and on a year-on-year comparison, net output in all the service activities taken together rose by 7.6% in real terms in the fourth quarter of 2007 over a year earlier, compared with the growth of 7.3% in the third quarter. For 2007 as a whole, there was an increase of 7.2%.
Net output in the wholesale, retail and import and export trades, restaurants and hotels sector increased by 7.1% in real terms in the fourth quarter of 2007 over a year earlier, compared with the 7.5% increase in the third quarter. For 2007 as a whole, net output in this sector increased by 7.2% in real terms. The growth was mainly attributable to the robust local consumer demand and vibrant inbound tourism. Also contributed was the continuous growth in external trade and offshore trade.
Net output in the transport, storage and communications sector increased by 7.4% in real terms in the fourth quarter of 2007 over a year earlier, compared with the increase of 6.7% in the third quarter. For 2007 as a whole, net output in this sector went up by 5.8% in real terms. The sustained growth in external trade underpinned the growth in transport and storage services.
Net output in the financing, insurance, real estate and business services sector increased by 15.5% in real terms in the fourth quarter of 2007 over a year earlier, compared with the 15.1% increase in the third quarter. For 2007 as a whole, net output in this sector went up by 14.6% in real terms. The growth impetus came mainly from the robust performance of the financial sector, underpinned by the buoyant stock market activity in 2007.
Net output in the community, social and personal services sector increased by 1.5% in real terms in the fourth quarter of 2007 over a year earlier, following the 0.8% rise in the third quarter. For 2007 as a whole, net output in this sector increased by 1.3% in real terms.
Net output in the local manufacturing sector decreased by 0.3% in real terms in the fourth quarter of 2007 from a year earlier, compared with the decrease of 2.1% in the third quarter. For 2007 as a whole, net output in the manufacturing sector decreased by 1.5% in real terms.
Net output in the electricity, gas and water sector had virtually no change in real terms in the fourth quarter of 2007 from a year earlier, compared with the rise of 0.2% in the third quarter. For 2007 as a whole, net output in this sector increased by 1.0% in real terms.
As for the construction sector, net output decreased by 4.0% in real terms in the fourth quarter of 2007 from a year earlier, compared with the decrease of 2.9% in the third quarter. For 2007 as a whole, net output in the construction sector declined by 2.5% in real terms.
Further information
The year-on-year percentage changes of GDP by economic activity in real terms from the fourth quarter of 2006 to the fourth quarter of 2007 are shown in Table 1 (Text version of Table 1). For enquiries about statistics on GDP by economic activity, please call the National Income Branch (2) of the C&SD at telephone number 2116 5115.
Figures of chain volume measures of GDP by economic activity for the fourth quarter of 2007 and the whole year of 2007 are only preliminary. When more data become available, the preliminary figures will be revised. Users may obtain a copy of this press release at the website of the C&SD (http://www.censtatd.gov.hk/). More detailed figures can also be found at the Hong Kong Statistics section of the website.
Ends/Tuesday, March 25, 2008
Issued at HKT 16:15
NNNN
